ABSTRACT
During World War II, the strategic importance of the Kola Peninsula was proved again; a corresponding priority was given to the development of the Northern Fleet, which had been founded in 1933. As the development of the area coincided with the Soviet period, the civilian sector typically came to be dominated by heavy industry, and whole towns and cities were built from scratch around enormous mining, metallurgy and chemical enterprises. The crisis in the economy following the collapse of the Soviet Union initially affected Murmansk oblast' less than most parts of Russia. In formal terms, Murmansk oblast', just like all other regions in Russia, has increased its degree of self-government since the dissolution of the Soviet Union inasmuch as it can elect its head of administration independently. The ambivalence of the Russians' attitude towards their Nordic neighbours is evident from how they handled the economic crisis in the autumn of 1998.
